Migrating Trust Accounting Settings to HawkSoft 6

This article covers how to configure HawkSoft 6 to match the Trust Accounting Settings you used in HawkSoft 5. The steps in this article will also help you avoid creating duplicate accounts in QuickBooks when you synchronize with HawkSoft 6.

Trust Accounting Setup is typically completed by the agency Owner, Bookkeeper, Admin, or the person at the agency responsible for making deposits and/or reconciling the Trust Bank Account in QuickBooks.

For steps on adding opening balances in HawkSoft 6 to match your existing balances in QuickBooks, see Opening Balances Overview.

For general information about configuring Trust Accounting, see Trust Accounting Settings.

For a printable checklist to help you track your accounting migration, see Accounting Migration Checklist.

Required Permissions:
To open Accounting Settings, user permissions must be set to include:

Accounting > Access Trust Accounting Settings

See User Permissions for more information.

Set the time zone used by your agency. This setting determines the appropriate date and time for reporting purposes.

  1. In HawkSoft, click the Gear icon Setup menu at the top-right corner, and then select Agency Setup.

    An Agency Setup window opens.

  2. Select the Agency tab.

  3. In the Agency Time Zone field, select your agency's time zone.

The Trust Accounting Setup in HawkSoft Version 6 includes some default General Ledger (GL) Accounts and Line Item Templates (see charts below). Adjust these default account names and settings to match your QuickBooks chart of accounts. To prevent duplicate accounts, make sure that the account Name matches exactly.

For example, if the QuickBooks Chart of Accounts lists your bank account as "Premium Trust", rename the default bank account in HawkSoft using the steps below.

Name Type Description
Direct Bill Liabilities OtherCurrentLiability For Direct Bill and Courtesy Invoice transactions
Premium Trust Account Bank Trust Account
Transfer OtherCurrentLiability Transfer Accounts
↵ Agency Fee OtherCurrentLiability Agency Fees
↵ Balance Waived OtherCurrentLiability Balance Waived
↵ Agency NSF Fee OtherCurrentLiability Agency NSF Fee
↵ Retained Commissions OtherCurrentLiability Retained Commissions
Item Name Payee Default Insured Bank Account
Balance Waived Agency   Premium Trust Account
Agency Sweep Company (or Carrier)   Premium Trust Account
Agency Check to Company Company (or Carrier)   Premium Trust Account
Insured Refund Insured ✓ Premium Trust Account
NSF Check Other   Premium Trust Account
Payment direct to company Company (or Carrier)    
Agency Fees Agency   Premium Trust Account
Agency NSF Fee Agency   Premium Trust Account

For more information about default GL accounts and Line Item Templates, see Trust Accounting Settings.

To configure accounts in HawkSoft 6 to match QuickBooks and HawkSoft 5

This procedure will help you copy your account settings to HawkSoft 6 from QuickBooks.

  1. Open your Chart of Accounts in QuickBooks.

    Click here for steps on accessing your Chart of Accounts in QuickBooks Online.

    Click here for steps on accessing your Chart of Accounts in QuickBooks Desktop.

  2. Open your General Ledger Accounts in HawkSoft.

    1. Click the Gear icon Setup menu on the main HawkSoft window, then select Trust Accounting.

      The Accounting Settings window opens.

    2. Click General Ledger Accounts.

  3. Update your Trust Bank Account in HawkSoft 6.

    1. Click on the Premium Trust Account in the General Ledger Accounts tab in HawkSoft 6.

      The Edit Account dialog opens.

    2. Verify the Account Name matches the name of your bank account your QuickBooks Chart of Accounts.
    3. Edit the account as needed, then click the Save button.

  4. Verify all of your transfer accounts in HawkSoft 6 match your Chart of Accounts.

    To update your parent transfer account

    This procedure will control the parent account that encompasses all of your transfer accounts.

    1. Click on the Transfer account in the General Ledger Accounts tab in HawkSoft 6.

      The Edit Account dialog opens.

    2. Verify the Account Name matches the name of your main transfer account your QuickBooks Chart of Accounts.

      For example, if you track agency fees using Transfer From Trust:Agency Fees, the Transfer account name is Transfer From Trust.

    3. Edit the account as needed, then click the Save button.

    To update your transfer accounts

    Perform this procedure for each account in your Chart of Accounts that already exists in HawkSoft 6.

    1. Click on the account in the General Ledger Accounts tab in HawkSoft 6.

      The Edit Account dialog opens.

    2. Verify the Account Name matches the name of this transfer account your QuickBooks Chart of Accounts.

      This is the parent account that encompasses all of your transfer acounts.

      For example, if you track agency fees using Transfer From Trust:Agency Fees, the Transfer account name is Transfer From Trust.

    3. Edit the account as needed, then click the Save button.

    To add transfer accounts

    Perform this procedure for each account in your Chart of Accounts that does not yet exist in HawkSoft 6.

    For example, NSF Fees and Balances Waived.

    1. Click Add Account in the General Ledger Accounts tab in HawkSoft 6.

    2. In the Account Name field, enter the name of this transfer account in your QuickBooks Chart of Accounts.

    3. In the Account Type field, select Other current liability.

    4. Check This is a Sub-Account.

    5. Leave This is an agency revenue account unchecked.

    6. In the Parent Account field, select Payables.

    7. In the Description field, enter the name of the company you are creating an account for or important notes.

    8. Click Save.

    Repeat the To add transfer accounts workflow for each of your transfer accounts.

    To add Line Item Templates

    Line Item Templates are a list of templates available for your agents to select when creating receipts, invoices, credit memos, and NSF transactions. Once you have created an account for the company that you pay on an invoice or statement basis, you need to add a new line item template for each company account created.

    1. Select the Line Item Templates tab in the Account Settings window.

    2. Click Add Line Item Template.

    3. In the Select Payee field, select Agency.

    4. In the Item Name field, enter the name of the company you will be invoicing for.

      This text will appear when creating invoices, receipts, or credit memos.

    5. Check the Invoices box.

      Leave the Receipts and NSFs boxes unchecked.

      This line item template will only be available when creating invoices.

    6. Select the agency bill Bank Account.

    7. Select the Reporting Account these transactions will apply to.

      This should be the Parent-account and the company sub-account, Payables:[Company].

    8. If the agency retains commissions when paying this company, check Allow Retained Commission.

    9. Click Save.

  5. Conditional: If your agency writes agency bill policies, create your payables accounts.

    To add your parent Payables account

    1. Click Add Account on the General Ledger Accounts tab.

    2. In the Account Name field, enter Payables.

    3. In the Account Type field, select Other current liability.

    4. Leave This is a Sub-Account and This is an agency revenue account unchecked.

    5. In the Description field, enter Payables.

    6. Click Save.

    To add company accounts

    Create one sub-account for each company you do agency billing with including MGAs, Brokers, Wholesalers, and Carriers.

    1. Click Add Account on the General Ledger Accounts tab.

    2. In the Account Name field, enter the name of the company you are creating an account for.

    3. In the Account Type field, select Other current liability.

    4. Check This is a Sub-Account.

    5. Leave This is an agency revenue account unchecked.

    6. In the Parent Account field, select Payables.

    7. In the Description field, enter the name of the company you are creating an account for or important notes.

    8. Click Save.

    Repeat the Add company accounts workflow for each company you do billing with.

    To add Line Item Templates

    Line Item Templates are a list of templates available for your agents to select when creating receipts, invoices, credit memos, and NSF transactions. Once you have created an account for the company that you pay on an invoice or statement basis, you need to add a new line item template for each company account created.

    1. Select the Line Item Templates tab in the Account Settings window.

    2. Click Add Line Item Template.

    3. In the Select Payee field, select Agency.

    4. In the Item Name field, enter the name of the company you will be invoicing for.

      This text will appear when creating invoices, receipts, or credit memos.

    5. Check the Invoices box.

      Leave the Receipts and NSFs boxes unchecked.

      This line item template will only be available when creating invoices.

    6. Select the agency bill Bank Account.

    7. Select the Reporting Account these transactions will apply to.

      This should be the Parent-account and the company sub-account, Payables:[Company].

    8. If the agency retains commissions when paying this company, check Allow Retained Commission.

    9. Click Save.

Avoid duplicating QuickBooks accounts. When you add accounts to HawkSoft that are already set up in QuickBooks, the account names and types must match exactly. If the account name is even slightly different, QuickBooks will create a new account in the company file when you export transactions.